Legal and General's annuity business achieves record volumes for bulk purchase annuities in 2007

Legal and General Annuities has achieved a record volume of bulk purchase annuities business during 2007 by winning over 200 policies, at a value of over £1.1 billion of single premium new business.

The Quarter 4 sales were also a record with over £600m single premium wins from companies that have chosen to insure all or part of their pension risk with Legal and General. New business wins in Quarter 4 included the Weir Group, Electricity Association Services Limited (EAS), and Queens Moat House Hotel Group, which ranged in value from £60m to £240m.

Legal and General has achieved new business across the complete market. There is though clear evidence that the forecast opening up of the bulk buy out market to pension schemes of solvent employers is now happening and a variety of risk transfer solutions are being employed.

By focusing on the delivery of a high quality service and using our expertise in handling and pricing complex defined benefit pension schemes, Legal and General has demonstrated its ability to continue to write good quality business.

Simon Gadd, Legal and General’s Managing Director for Annuities business said, “We are naturally very pleased to have grown our new bulk purchase annuity business this year, following a record year in 2006. With over 20 years experience it is great that this is recognised with a record volume of new business, despite the increased competition in this market.

Our experience and expertise coupled with the ability to individually tailor our product offering, means that Legal and General’s bulk purchase annuity business is well placed to take advantage of the increased market opportunities in 2008.”

• Photograph of Simon Gadd is available from the Legal and General press team. • Legal and General has been an active participant in the bulk annuity market for over 20 years. In this time it has taken responsibility for over 1500 pension schemes. 2006 was a record year for the Legal and General bulk annuity department with over 250 new bulk annuity policies were secured at an average premium size of just under £4m. In 2007 over 200 new bulk annuity policies were secured with a premium range from £5,000 to over £200m. • Legal and General has expertise in investment management, all aspects of defined benefit provision, and an in depth understanding of mortality trends. • The information contained in this release is intended solely for journalists and should not be used by any other persons to make financial decisions. • Legal and General Assurance Society Limited. Registered address: One Coleman Street, London EC2R 5AA. Registered in England No 166055.

Keywords: Pension, Annuities, Annuity, Pensions

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